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Question

Refer the data in the table below:

Particulars200506Reveue from Operations4,00,00,000Other Income50,00,000Purchase of stock in trade40,00,000Employee Benefit Expenses10,00,000Depreciation and Amortization65,00,000Profit before tax2,35,00,000

Apply common size analysis for Employee Benefit Expenses



A

2.50%

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B

10%

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C

20%

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D

None of these

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Solution

The correct option is A

2.50%


Employee Benefirt Expenses = (10,00,000 /4,00,00,000) * 100 = 2.50% of Revenue from Operations


Accountancy

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